On Mon, 2003-09-01 at 11:15, Andrew L. Gould wrote: > On Monday 01 September 2003 10:01 am, Matthew Vanecek wrote: > I still think we're talking about 2 different tasks, which could be handled in > separate "modules". (I mentioned this in a separate sub-thread of this email > topic.) Currently, I earmark funds by removing funds from my checkbook and > allocating them to specific purposes in a spreadsheet. (I'm still planning > the conversion to Gnucash.) This is similar to the cash management described > above and to encumberance accounting used in governmental accounting (yuk!). > The amount left in my checkbook is like petty cash, which is used for food, > fun, etc. This method affects my day-to-day, week-to-week activities. This > may be all that's necessary for personal financial management; but a small > business should also use a separate budget process that is more strategic in > nature. A budget is something you would put in a Business Plan. > > Andrew
A budget is not only for a business plan, but also for ongoing operations. From corporate to SOHO, you have to know what you need to spend money on, and how much income you are projected to have. I'm definitely not opposed to having a mix of functionality. I personally try to use a mix of business and personal financial management to keep things in line, and a budget process would be most handy. But if you can design a way to have your above allocation implemented as well, please do so. I'm not saying it wouldn't be useful--just that it's not how I would do it. Barring catastrophe, I know the minimum amount of money I'll be receiving over the next 12 months and can plan accordingly. Even when I was struggling through school, and before, I had a decent idea of what to expect. So I could plan accordingly. If you don't know what you're getting until you get it, life in general becomes a bit more different (and yes, I've been there, too. :( ). Remember, however, that there are still many constants (e.g., rent, phone, cable, car insurance, etc.) that can/should be budgeted for. Life has taught me (rather quickly) that planning for the future sure makes it easier to handle... -- Matthew Vanecek perl -e 'print $i=pack(c5,(41*2),sqrt(7056),(unpack(c,H)-2),oct(115),10);' ******************************************************************************** For 93 million miles, there is nothing between the sun and my shadow except me. I'm always getting in the way of something... _______________________________________________ gnucash-devel mailing list [EMAIL PROTECTED] http://www.gnucash.org/cgi-bin/mailman/listinfo/gnucash-devel
